Cyprus-based provider of trust services Fidesta has implemented iDenfy ’s ID, AML, phone, and address verification solutions for an improved customer experience. As a licensed and regulated fiduciary services provider, Fidesta provides company and trust formation and administration services in several international business centres, such as Cyprus, British Virgin Islands, and Seychelles.

Being subject to stringent AML regulations in all jurisdictions where it operates, Fidesta must maintain meticulous client identification procedures and due diligence records. Traditionally, those procedures would require the verification of the client’s identity and substance documents via notarial and consular services. Apart from being quite time-consuming, the traditional verification methods inevitably posed an extra cost for the client, in the form of notarial and consular fees.

Aiming to offer quality service and commitment to its clients, Fidesta started to look for ways to improve its customer onboarding by utilising the augmented regtech solutions. iDenfy chosen as Fidesta's suitable ID verification provider Between several contenders, Fidesta ultimately chose iDenfy as its preferred ID verification services provider. According to the Fidesta management, iDenfy came out on the top thanks to a mix of powerful technology, the flexibility of its overall service package, and outstanding customer support.

An advantage that made iDenfy stand out was its ability to scale down its service package. Unlike typical PSPs and other retail-oriented financial service providers, Fidesta runs a much lower annual volume of new client acquisitions. It was therefore important for it to maintain a reasonable total annual service cost, as it had to average out over a much smaller client base.

iDenfy was flexible enough to understand and accommodate this specific. Previously, many of Fidesta’s clients spent extensive time, effort, and money verifying their identities by traditional methods, including sending certified documents by post. Now, with iDenfy's platform, new customers can complete their identification process within minutes and at no cost to them, by leveraging advanced biometric identity verification, AML screening for individuals, companies proof of address verification, and phone verification.

According to iDenfy, this switch to automated compliance services is expected to result in a less complicated process when handling customer data, which is very important both for the end-users and the compliance specialists who are using the automated KYC/AML platform. Advantages of algorithm-based solutions Traditional human verifiers and paper-based verification methods pose significant risks due to the potential for trickery, corruption, and forgery. Human verifiers such as notaries, lawyers, bankers, and compliance officers can be deceived or bribed, while paper-based records are susceptible to tampering and forgery.

This ‘old-school’ approach presents an exponential risk, as even individuals with basic Photoshop skills can fabricate credentials, as per Fidesta. In contrast, algorithm-based identification technology offers a more secure solution, as it cannot be bribed and is difficult to deceive due to advanced anti-fraud protocols. While errors may occur, they typically lead to applicant rejection rather than acceptance, and honest mistakes can be rectified easily.

Given these advantages, there is a compelling case for technology-based identity verification systems to become the preferred method for customer due diligence, offering greater security and reliability across regulatory landscapes. .